Short & sweet: Logistical decoupling point (LEK)

The logistics decoupling point (LEK) is the point in a value stream at which the customer order reference is decoupled from the value chain. Downstream of the value stream from the LEK, production is based on customer orders; upstream of the LEK, production is based on stock and anonymous customer orders. Stocks must be held at the LEK.

Our tip: Place the LEK as far upstream as possible; ideally at the point from which the remaining lead time corresponds 1:1 to the delivery time accepted by the market. This ensures that production is optimally aligned with demand and reduces inventories with high added value.

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Prof. Dr. Andreas Kemmner
Prof Dr Kemmner is Co-CEO of the Abels & Kemmner Group and has carried out well over 200 national and international projects in 30 years of consulting work in supply chain management and restructuring and was the only publicly appointed expert for the profitability assessment of industrial companies in Germany for over 10 years. In 2012, he was appointed Honorary Professor of Logistics and Supply Chain Management by the WHZ. The results of his projects have already received several awards.
Picture of Prof. Dr. Andreas Kemmner

Prof. Dr. Andreas Kemmner

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